SME exports rise 4.4% in first half of year on strong cosmetic shipments

Industry

Published: 24 Jul. 2024, 16:25

SME exports rise 4.4% in first half of year on strong cosmetic shipments

Cosmetics section at a supermarket in Seoul on July 17. [YONHAP]

Exports by Korea's small- and medium-sized enterprises (SMEs) increased 4.4 percent in the first half from a year earlier, driven by a strong performance in the cosmetics sector, data showed Wednesday.

Outbound shipments by 77,078 SMEs came to $57.1 billion in the January-June period, compared to $54.7 billion a year ago, according to the Ministry of SMEs and Startups.

By item, cosmetics exports jumped 30.8 percent on year in the first half to $3.3 billion, the highest figure for the period, on the diversification of trading partners as well as strong demand in the United States and China.

Outbound shipments of semiconductor manufacturing equipment advanced 14.7 percent to a record $1.9 billion, and exports of electronic appliances gained 4.1 percent to an all-time high of $1.3 billion.

Auto exports, however, dropped 10.6 percent on-year to $2.25 billion.

By nation, overseas shipments to the United States climbed 20.6 percent to $9.46 billion on strong demand for cosmetics, making the country the biggest buyer of Korean SME products for the first time.

Exports to Mexico increased 5.5 percent on year to $1.4 billion on the U.S. nearshoring effect, and those to Thailand rose 4.4 percent to $1.29 billion thanks to the popularity of Korean food and beauty products.

Exports to China, meanwhile, decreased 3.6 percent to $9.03 billion.

Data also showed that Korean SMEs exported $450 million online in the first half of the year, up 23 percent on year.

YONHAP